GeneDx (NASDAQ:WGS) Shares Down 6.1% – Should You Sell?

GeneDx Holdings Corp. (NASDAQ:WGS) dropped 6.1% on Tuesday. The stock traded as low as $72.04 and last traded at $71.6040. Approximately 99,024 shares changed hands during trading, a decline of 89% from the average session volume of 930,062 shares. The stock had previously closed at $76.27.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on WGS. Zacks Research upgraded shares of GeneDx from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 26th. TD Cowen reaffirmed a “buy” rating on shares of GeneDx in a research note on Wednesday, July 15th. BTIG Research reaffirmed a “buy” rating and issued a $90.00 price objective on shares of GeneDx in a research note on Tuesday, August 4th. Canaccord Genuity Group boosted their price objective on shares of GeneDx from $75.00 to $90.00 and gave the stock a “buy” rating in a research note on Tuesday, August 4th. Finally, Weiss Ratings raised GeneDx from a “sell (e+)” rating to a “sell (d)” rating in a research report on Tuesday, August 4th. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $90.86.

GeneDx Price Performance

The business has a 50-day moving average of $82.12 and a 200 day moving average of $67.32. The company has a current ratio of 3.30, a quick ratio of 3.06 and a debt-to-equity ratio of 0.40. The firm has a market capitalization of $2.13 billion, a P/E ratio of -19.48 and a beta of 1.95.

GeneDx (NASDAQ:WGS) last announced its quarterly earnings data on Monday, August 3rd. The company reported $0.01 EPS for the quarter, beating analysts’ consensus estimates of ($0.19) by $0.20. GeneDx had a positive return on equity of 4.12% and a negative net margin of 23.41%.The firm had revenue of $114.44 million during the quarter, compared to analysts’ expectations of $111.01 million. During the same quarter last year, the firm posted $0.36 earnings per share. On average, sell-side analysts predict that GeneDx Holdings Corp. will post -0.41 earnings per share for the current fiscal year.

Insider Transactions at GeneDx

In related news, CEO Katherine Stueland sold 10,501 shares of the stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $97.61, for a total value of $1,025,002.61. Following the completion of the sale, the chief executive officer directly owned 115,476 shares of the company’s stock, valued at approximately $11,271,612.36. This represents a 8.34% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Kevin Feeley sold 3,728 shares of the stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $97.61, for a total transaction of $363,890.08. Following the completion of the sale, the chief financial officer owned 44,945 shares of the company’s stock, valued at approximately $4,387,081.45. This represents a 7.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 19,206 shares of company stock valued at $1,808,056 in the last quarter. Company insiders own 25.17% of the company’s stock.

Hedge Funds Weigh In On GeneDx

Several institutional investors have recently modified their holdings of WGS. First Light Asset Management LLC grew its stake in GeneDx by 222.7% in the 2nd quarter. First Light Asset Management LLC now owns 783,923 shares of the company’s stock valued at $53,816,000 after purchasing an additional 540,996 shares during the period. Nykredit A S bought a new position in GeneDx during the second quarter valued at about $38,000. Corient Private Wealth LP purchased a new stake in GeneDx during the second quarter worth about $3,066,000. AlphaGrep UK Ltd bought a new stake in GeneDx in the second quarter worth about $238,000. Finally, Wellington Management Group LLP boosted its stake in GeneDx by 2.0% in the second quarter. Wellington Management Group LLP now owns 347,927 shares of the company’s stock valued at $23,885,000 after acquiring an additional 6,922 shares during the last quarter. 61.72% of the stock is owned by institutional investors.

GeneDx Company Profile

GeneDx (NASDAQ: WGS) is a precision health company that provides genetic testing and related data services. The company focuses on helping healthcare professionals identify genetic conditions, support diagnosis and treatment decisions, and better understand inherited disease.

Its offerings include exome and genome sequencing, testing for rare and undiagnosed disorders, hereditary cancer testing, and other genetic analyses. GeneDx also provides clinical interpretation and reporting intended to help physicians evaluate genetic results in the context of a patient’s symptoms and family history.

Founded in 2000, GeneDx has built a business around genomic testing for patients with rare diseases and other inherited conditions.